Is The Worse Over For Coraza?
Is The Worse Over For Coraza?
Looking ahead, the outlook for Coraza is positive. RHB analysts anticipate a stronger performance in the second half of 2024, supported by the resumption of orders from key customers and a general recovery in semiconductor equipment demand. The Semiconductor Equipment and Materials International (SEMI) has raised its projections for FY24, forecasting growth in the front-end, test, and assembly & packaging equipment segments. Coraza is well-positioned to benefit from this rebound, particularly with its newly acquired plant undergoing upgrades expected to be completed by 4Q24. Increased order volumes from existing and new customers are likely to enhance margins through improved operational efficiencies and economies of scale.Coraza Integrated Technology (Coraza) has maintained its BUY rating despite a challenging first half of 2024. The company has set a revised target price (TP) of RM0.62, indicating a potential upside of 48.3% from its current price of RM0.42. This adjustment follows 1H24 results that missed expectations due to weaker-than-anticipated sales and margins. The stock has faced a year-to-date decline of 3.5% and a 12-month drop of 34.4%, but analysts suggest that the recent share price weakness may have already factored in these low expectations.
Coraza Integrated Technology（Coraza）儘管在2024年上半年面臨挑戰，但仍保持買入評級。該公司設定了0.62令吉的修訂目標價格（TP），與目前的0.42令吉相比，可能上漲48.3%。此調整是基於1H24結果未達到預期銷售和利潤，導致的。該股票今年迄今已經下跌了3.5%，12個月下跌了34.4%，但分析師認爲，最近的股價疲軟可能已經考慮了這些低預期。
Calls by analysts at RHB reflect a mixed but generally positive outlook. The house maintains a BUY rating with a new TP of RM0.62, up from RM0.68, citing a 49% upside potential. The firm expects stronger performance in the latter half of the year, driven by a recovery in demand for semiconductor equipment. This expectation is supported by Coraza's robust customer base and its role in the front-end semiconductor supply chain.
RHb的分析師的呼叫反映了一個混合但總體上積極的前景。該機構維持買入評級，目標價格爲0.62令吉，較0.68令吉上調，預計上漲49%。該公司預計在下半年會有更強的業績，這將由需求復甦推動。這種預期得到了Coraza強大的客戶基礎和其在前段半導體供應鏈中的角色的支持。
The company reported core losses of RM1.7 million for 1H24, falling short of both analysts' and market forecasts. This negative deviation was due to slower sales and margin recovery. In particular, 1H24 sales dropped by 26% in both Malaysia and the US due to reduced orders, although sales in Singapore increased by 22% during the same period. Revenue for 1H24 declined by 15.7% year-on-year to RM41.5 million, affected by the semiconductor market downturn and order deferrals. Gross profit margins also fell by 6.6 percentage points to 13.1%, due to underutilisation and fixed cost absorption. However, 2Q24 revenue showed a 10.2% improvement quarter-on-quarter, reflecting a gradual recovery in the industry. The core loss for 2Q24 narrowed to RM0.3 million from RM1.4 million in 1Q24.
該公司報告的1H24核心虧損爲170萬令吉，低於分析師和市場預測。這種負面偏差是由於銷售和利潤恢復緩慢造成的。特別是，馬來西亞和美國的1H24銷售額因訂單減少而下降了26%，而同期新加坡的銷售額增長了22%。受半導體市場低迷和訂單推遲的影響，1H24的營業收入同比下降了15.7%，毛利潤率也下降了6.6個百分點，達到13.1%，這是由於產能低效利用和固定成本吸收。然而，2Q24的營收環比增長10.2%，反映出行業逐漸復甦。2Q24的核心虧損從1Q24的140萬令吉減少到30萬令吉。
Looking ahead, the outlook for Coraza is positive. RHB analysts anticipate a stronger performance in the second half of 2024, supported by the resumption of orders from key customers and a general recovery in semiconductor equipment demand. The Semiconductor Equipment and Materials International (SEMI) has raised its projections for FY24, forecasting growth in the front-end, test, and assembly & packaging equipment segments. Coraza is well-positioned to benefit from this rebound, particularly with its newly acquired plant undergoing upgrades expected to be completed by 4Q24. Increased order volumes from existing and new customers are likely to enhance margins through improved operational efficiencies and economies of scale.
展望未來，Coraza的前景是積極的。RHb的分析師預計2024年下半年將有更強的業績，主要得益於主要客戶訂單的恢復和半導體設備需求的普遍復甦。半導體設備與材料協會（SEMI）已上調了其FY24的預測，預計前端、測試和組裝與封裝設備領域會出現增長。Coraza具備從這一反彈中受益的良好條件，尤其是該公司新收購的工廠預計將在2024年第四季度完成升級。現有客戶和新客戶的訂單量增加有可能通過提高運營效率和規模經濟性來增強利潤率。
Despite lowering earnings forecasts for FY24F-26F due to the uneven recovery in 1H24, a more substantial recovery is expected in FY25. The revised target price of RM0.62 reflects these adjustments and maintains a 20x FY25F P/E ratio, including a 4% ESG discount.
儘管由於上半年24F復甦不均，我們下調了FY24F-26F的盈利預測，但預計FY25將出現更爲顯著的復甦。重新修訂的目標價爲RM0.62，反映了這些調整，並保持20倍FY25的市盈率，包括4%的esg折扣。
Source: RHB
Title: Improving Outlook; Still BUY
來源：RHB
標題：前景改善；仍然買入
譯文內容由第三人軟體翻譯。
